making news on this friday, july 30th. >> arizona appeals. tempers heat up as the state goes to court to get its controversial immigration law reinstated. ethics charges. a long-serving congressman accused of violating house standards now faces a public trial. what it will mean for democrats in the fall elections? and "idol" overhaul, ellen degeneres is leaving as judge. could j. lo be the next to pass judgment on future pop stars? good morning. and thanks for being with us on this friday. the battle over arizona's immigration law moves forward on two fronts. meanwhile, protests against the law are growing across the

country, from los angeles to new york. >> and lawyers for the state were in federal court, arguing that the more controversial aspects of the law be enforced. a ruling is expected soon. brad wheelis has more. >> go home. go home. >> reporter: the state of arizona, thursday, asked an appeals court to lift a judge's order, locking most of senate bill 1070's power to stop immigration and demand to see their papers. >> they need to step up, the feds do. and do the job that they have the responsibility to do. >> reporter: tensions over thursday's law inflamed debate and sent protesters to the streets in phoenix. >> we'll never be defeated. >> reporter: and in los angeles -- >> i do. and that's -- >> so, did i. >> reporter: back in arizona, it was -- >> business as usual. >> reporter: for maricopa county sheriff, joe arpaio.

arpaio checked immigration status. >> it doesn't matter what the ruling is by the federal judge. we're going to do it anyway. >> reporter: while scores of day laborers touted for work openly. >> we don't see police. there's no police around here. >> reporter: a u.s. district court judge agreed with the obama administration that the arizona law was unconstitutional on its face. arizona filed an appeal to the ninth circuit court of appeals. the legal controversy over sp 1070 will likely be decided in the supreme court. brad wheelis, abc news. authorities say the federal judge in the case has been getting threats over her controversial ruling. and they are taking them all seriously. the u.s. marshal spokesman says judge susan bolton, has received thousands of phone calls and e-mails since her preliminary injunction this week. the threats are all being investigated. on capitol hill, the house ethics committee is preparing to try new york congressman charles

rangel for a series of ethics violations. the charges against the democrat have now been made public after a two-year investigation. jonathan karl has the story. >> reporter: the ethics committee report on rangel is detailed. and it is scathe. it accuses him of, quote, a pattern of disregard for the laws of the united states and for the rules of the house. in addition to failing to pay his taxes, the committee accuses rangel of using his position on the powerful ways and means committee, to raise money from big wall street corporations, like aig, citigroup and goldman sachs that had business before his committee. as for rangel, he insists he has never knowingly broken the rules of the house, violated themwatc he understands the seriousness of the allegations. >> years ago, i survived a chinese attack in north korea. and as a result, i go by the

book that having survived that, i haven't had a bad day sense. today, i have to reassess that statement. thank you. >> reporter: the rangel ordeal has already been a major embarrassment for democrats. but it will become a much bigger one if the committee goes forward with plans for a big, public trial of rangel that will take place in september. that's right in the middle of the campaign season. rangels lawyers are trying to negotiate a way to avoid that, by some kind of settlement, where he would admit some wrongdoing. but right now, all systems are go for a public trial of charlie rangel before the ethics committee in september. jonathan karl, abc news, capitol hill. fired government worker, sherry sherrod said she will sue the man who posted a version o her words her words online. she was forced to resign after a speech she made was edited to

appear to be racist. conservative blogger andrew breitbart posted that on his site. >> he had to know he was targeting me. at this point, he hasn't apologized. i don't want it at this point. and he'll definitely hear from me. >> sherrod says she still hasn't decided about the new job she has been offered at the agriculture department. montana investigators expect dna test results that are due out today will confirm that a captured grizzly is the bear that killed a camper. a female bear and her cubs were snared in metal traps near his tent. two campers were also injured in the incident. the terrifying attack came with no warning in the middle of the night, waking the campers out of their sleep. >> bear was on my leg. i punched him a couple times. and then, it was gone. >> i remember opening my eyes and thinking something's not

right. then, crunch. >> camp officials say campers didn't leave food out or did anything else to draw the attack. if the grizzly is the killer, it will be put down, along with her cubs. three more americans have been killed in afghanistan, making this the deadliest month for u.s. forces since the start of the war. the military says the troops died in two, separate explosions yesterday. bringing the total number of killed in july to at least 63. more graves at arlington national cemetery may have been mishandled and mislabeled than initially believed. senators questioning the former managers of arlington says the mixup involves as many as 6,600 graves. the former military superintendent expressed regret to families of the troops. he accepted responsibility. but also blamed hithe antiquatd the antiquated system. and now, for this morning's weather from around the nation. gusty winds, hail and isolated tornadoes in nebraska and kansas. heavy rain and flooding in fargo, minneapolis, des moines and st. louis.

thunderstorms from tennessee and mississippi. and rain and flooding in the four corners of the southwest. >> just shy of triple-digits in phoenix and boise. 90 in albuquerque. and 94 in salt lake city. 80s across the upper midwest. 90s from omaha, down to dallas. pleasant in the northeast, with 79 in boston, 84 in new york. and 87 in baltimore. and when we come back this morning, details of yet another toyota recall this morning. plus, bp's outgoing ceo defends his record. but what about his comment about wanting his life back? and now, degeneres follows simon cowell out of the door at "american idol." who will replace her? activia is better than ever! hey, you guys. want to try activia's great new taste? today is your tast lucky day! sure, why not? isn't this the yogurt that, you know.../ helps regulate your digestive system. ooh, i think i'll pass., no, no, no! trust me.. it is beyond tasokay! mmm! wow!

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and time for a check of market activity starting overseas. tokyo's nikkei average dropped more than 150 points today. hong kong's hang seng is down in late trading. and in london, if ftse opened lower. wall street starts the day with the dow jones industrial average at 10,476, after losing 30 points yesterday. meanwhile, the nasdaq index dropped 12 points to close at 2251. citigroup has agreed to pay $75 million to settle federal claims that it failed to disclose huge investments in subprime mortgage properties. the security and exchange commission accused citibank of hiding shaky investments from shareholders while losses piled out. citigroup did not admit to or deny the s.e.c.'s accusations. toyota is recalling nearly

500,000 cars, a sign the automac iris still struggling with safety problems. 412,000 suvs and cars sold in the u.s. have a steering wheel that can lock up. toyota has recalled nearly 10 million cars since last october. as we all know, home computers can do a lot for us. but one thing programs have always had trouble with is software that can accurately take dictation. now, nuance, the leader in voice-recognition software says it has it down to a "t" with a program that is 99% accurate. "usa today's" ed baig, says he still saw some mistakes. but overall, he's impressed. >> speaking into a headset microphone and microphones come with the software. you bark out what you want to say. you dictate what you want to say. or you bark out commands like open program. or something already on the

screen. bold this word to that word. and guess what? your pc obliges. it really is pretty cool. >> the software works with documents, e-mails, instant messages and virtually any windows application. you can read ed's full review on usatoday.com. college students have a chance to shop for the best textbook deals. the law requires colleges to release required book lists during registration. and publishers must disclose prices. as a result, students can check out rental and book buyback programs. it's about time. coming up next on this friday morning, some fishermen in the gulf get the green light to go back to doing their jobs. and actress, singer and dancer. and know, is jennifer lopez about to add "american idol" judge to her resume? erer

a fast-moving wildfire is burning out of control in the hills of northern los angeles county this morning. the fire broke out thursday afternoon and quickly spread over more than seven-square miles. more than 1,200 homes have been evacuated near santa clarita. at least three buildings have been destroyed. firefighters plan an aggressive air attack at dawn. now,d look at road look n. flooding in the plains. wet on i-35 from st. louis to memphis. and jackson and mississippi. i-95, on florida. and on i-70, west of denver. >> and if you're flying today, you can expect airport delays in phoenix, minneapolis, kansas city, and memphis. back to the news, now.

bp's tony hayward has given his first interview since being ousted as ceo. in this morning's "wall street journal," hayward says he became a villain for doing the right thing. but he's conceded that some of his comments, particularly saying, i'd likely life back, were wrong. hayward said he did not want to believe bp. but to stay a ceo would have been untenable. and work to permanently plug the oil leak could begin this weekend. and in other signs of progress, more areas that were closed to fishing and shrimping are now back open. john hendren has more details. good morning, john. >> reporter: good morning, rob. it's day 102 in the oil spill. and for fishermen, there's now a glimmer of hope in the gulf of mexico. these shrimp boats will soon be pulling in their nets. the federal government announced a major reopening of shrimperys in the mississippi. >> it's going to be bad. but people are going to be out and working. >> reporter: last month, 46,000

people, from florida to texas, were working at bp's expense. and with no oil near alabama or florida now, more than 16,000 of those jobs have disappeared. there were almost 7,000 boats involved. today, 4,300. many of them operated by fishermen being paid $1,500 a day. >> as long as we have oil coming to shore, whether it's on the surface or sub surface, as far as tar balls rolling in, nothing changes for us. >> reporter: louisiana's governor says the cleanup effort will go on for years. >> what we're looking for is not just a verbal commitment to let us cement plans. but real followthrough. real execution. >> reporter: and the well that is leaking, it could be shut down for good next week. >> we're continuing to make progress, on the static kill and the relief well. we look to be laying the casing line of the relief well later this evening. >> reporter: the beginning of the end of an oil spill now more than 100 days old. bp has how paid $256 million in

claims. that's the beginning of a tab that's likely to cost tens of billions of dollars. >> john hendren in washington. thanks, john. a far-reaching new aviation safety package passed the house late last night. it was prompted by last year's deadly commuter plane crash in new york. the bill calls for limited pilot schedules, boosting job requirements and improving training. it goes to the senate today. another season and another shakeup for "american idol." ellen degeneres has announced that she is leaving the show, after just one year as judge. degeneres told fox that "idol" just wasn't the right fit for her. this morning, now, there's word that jennifer lopez may be close to joining the show. and tmz is reporting that carry demoorety is being fired. they say it will be a three-judge lineup, with lopez, randy jackson, and rocker steven tyler of aerosmith fame.

it's time, now, for sports. here's steve weissman at espn news. >> good morning. i'm steve weissman with your espn news update. and the quest continues for alex rodriguez. still in search of his 600th home run. taking on the indians. top third. yankees down one. bases loaded for a-rod. hits it to center. not deep enough. but he does get an rbi. collin curtis tags up and scores. we're tied at 1-1. move to the top of the seventh. 7-1, yanks. bases loaded again for a-rod. no home run. but two more rbis. derek jeter, curtis granderson score. it's 9-1, yankees. can you believe this. top of the eighth. rodriguez with the bases loaded. strikes out swinging. one for four. 30 at-bats since home run 599. top of nine, andy marte, strikes out nick swisher swinging. marte pitched a one, two, three

ninth. yanks win it, 11-4. the phillies acquired roy oswalt on thursday. taking on the d-backs. raul ibanez, high and deep. that's off joe saunders, the new pitcher for arizona. phyllis lead 2-0. top nine, d-backs down 2-1. j.c. romero while brad lidge warms up. m montero, high chopper to short. bases loaded for the big fella, ryan howard. uh-oh. he was 0 for 5 with 2 strikeouts. we go to the bottom of the 11th. two on, one out. tied at 2-2. phillies walk it off, 3-2. they've won eight in a row. that's a look at your sports highlights. for espn news, i'm steve weissman. back to you in new york. a south florida clerk targeted by a gunman said her faith made the suspect leave that store empty-handed.

surveillance video released by the broward county sheriff's department captured the drama as it unfolded. >> it shows the robber crumbling after the christian clerk talked to him about her faith in jesus. she calls it divine intervention. d face armed robbery charges if he is caught. up next, the stories we'll be following on this friday morning. including the latest on the economy. is it going in the wrong direction? and deciding the fate of a grizzly bear and her cubs.

now, a look ahead to the stories we'll be watching on this friday. police are braced for more protests today over arizona's immigration law. demonstrations have now spread across the country from l.a. to new york. the marshal's office is investigating threats made against the federal judge in the case. the results of dna tests on a grizzly bear captured in montana are due today. they're expected to confirm that the bear did kill a camper and injured two others. if so, she and her cubs will be put to death. the government has reopened thousands of miles of the golf to fishing. those areas had been closed because of the oil spill. a slowdown in consumer spending may be hurting the already fragile economic recovery. a government report out this morning is expected to show growth from april to june slowed for the second-straight quarter. president obama heads to detroit today to highlight the

auto bailout as a success. chrysler and gm making plans that both companies survived the recession. for some of you, local news is next. i'll take these. no matter what we're buying. plus the damages. and since double miles add up quick, we can bring the whole gang. it's hard to beat double miles. no, we ride them! [ male announcer ] introducing the venture card from capital one, with double miles on every purchase every day. go to capitalone.com. what's in your wallet? oh, that's the spot!

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next at 4:30. breaking news after an armed man walked into children's hospital oakland and grabs an employee. plus, for the first time in the history san jose fighters are being laid out and a station is being shut down this morning. we're live as they are prepared to turn in their gear. >> a lot more fog and drizzle but it won't slow our and finally, fantasy or reality?

a way to get inside your own head and take charge of your own dreams. >> that, of course, is the premise of the new leonardo dicaprio film "inception." and some say it's not all sci-fi. abc's don guevara takes a look at the stuff dreams are made of. >> reporter: in the movie "inception," thieves sneak into dreams to steal information and plant ideas into your mind. while the movie seems far-fetched, some believe they can control their own dreams. it's a controversial technique called lucid dreaming. robert wagoner, author of "lucid dreaming, gateway to the inner self," said, like the movie, he planted an idea into a friend's mind through a dream. >> the lucid dreamer has to deal with his own thoughts. >> reporter: experts study them. and they believe that dreams can help you conquer your fears. that's true for artist, evelyn stetson.

stetson's stage fright kept her from singing in public. dream therapy changed that. stetson works with therapist lauren schneider, who taps into people's dreams to help them. >> whatever issue is going on is going to pop up immediately. but not only the issues, the solutions come up in the dream. >> this is just a dream. he isn't real. he isn't real. >> reporter: the movie "nightmare on elm street," showed us dreams can be terrifying. people suffering from posttraumatic stress disorder, or depression, often suffer from nightmares. some doctors cure them with a technique called image reversal therapy. >> and they'll tell them to change the nightmare anyway they wish. >> reporter: while awake, the person practices rewriting a new dream in their head. then, when they fall asleep -- >> the guy's chasing me. but then, when he chases me, it turns into my husband. and he gives me a big hug. >> reporter: dreams are creative. how we interpret them, controversial. don guevara, abc news, los angeles. that's what's making news in